Underwriting & Metrics Combined Loan-to-Value (CLTV) The sum of all loans against a property divided by the property’s value.
Underwriting & Metrics Compensating Factors Positive borrower attributes (large reserves, low DTI) that offset weaker areas of an application.
Underwriting & Metrics Conditional Approval Underwriter approval pending submission of specific documents or clarifications.
Tax & 1031 Constructive Receipt An IRS doctrine treating taxpayers as receiving income they could control, even if not yet collected.
Tax & 1031 Cost Segregation A study that accelerates depreciation by separately classifying building components.
Tax & 1031 Delaware Statutory Trust (DST) A trust holding investment-grade real estate, eligible for 1031 exchanges.
Tax & 1031 Depreciation An annual tax deduction representing the wear and tear of an income-producing property.
Tax & 1031 Mixed-Use Property (1031) Property used partly as a residence and partly for investment — requires special apportionment.
Tax & 1031 Mortgage Interest Deduction A federal tax deduction for interest paid on home loans up to specified limits.
Tax & 1031 Personal Residence Exclusion The Section 121 exclusion of up to $250K/$500K gain on a primary home sale.
